Switzerland has beaten the July 2013 deadline to comply with the Alternative Investment Fund Managers Directive (AIFMD).
It has signed an MoU with the European Securities and Markets Authority (ESMA), which represented all EU member states during negotiations.
ESMA has approved co-operation arrangements between the Swiss Financial Market Supervisory Authority (FINMA) and the EU securities regulators for the supervision of alternative investment funds, including hedge funds, private equity and real estate funds.
The MoU arrangement includes cross-border on-site visits, exchange of information and mutual assistance in the enforcement of respective supervisory laws.
It will apply to Swiss alternative investment fund managers (AIFMs) that manage alternative investment funds (AIFs) in the EU and to EU AIFMs that manage or market AIFs in Switzerland.
ESMA is currently in contact with other non-EU authorities that are members of the International Organization of Securities Commissions to negotiate co-operation arrangements with the relevant authorities before the deadline.
According to AIFMD, the fund industry from a non-EU country whose securities regulator does not have co-operation arrangements in place by July 2013 will not be permitted to offer or manage AIFs in the EU.
ESMA's chair, Steven Maijoor, said: “The agreement by EU and Swiss supervisors to facilitate co-operation on the supervision of cross-border alternative funds is an important step in increasing investor protection and the global consistency of supervision.”
“ESMA sees this agreement as a signal of third countries’ willingness to co-operate to meet AIFMD’s requirements, however further work needs to be done with the non-EU authorities to achieve our goal of completing all MoUs by the July 2013 deadline.”
FINMA chair, professor Anne Héritier Lachat, said: “The agreement between FINMA and EU supervisors will further improve cross-border supervision of the funds business and ultimately reinforce investor protection in cross-border operations of alternative funds.”
“Moreover, the agreement is timely with respect to the transposition of the AIFMD in EU Member States in July 2013. It will establish a framework for co-operation between supervisory authorities required under the AIFMD to manage, market and delegate the management of EU alternative funds.”
